Chapter 158

2003 -- H 6154 SUBSTITUTE A

Enacted 07/10/03

A N A C T

RELATING TO EDUCATION -- BOARD OF GOVERNORS FOR HIGHER EDUCATION

Introduced By: Representatives Fox, Watson, Mumford, Savage, and Lima

Date Introduced: March 05, 2003

It is enacted by the General Assembly as follows:

SECTION 1. Chapter 16-59 of the General Laws entitled "Board of Governors for

Higher Education" is hereby amended by adding thereto the following section:

16-59-26. The public and private partnership in education. – (a) Purpose: The state of

Rhode Island recognizes that research is a primary mission of an institution of higher education.

While carrying out its research mission, the state further recognizes that inventions of value to the

public will be made by persons working in its public institutions of higher education. The

marketing of these inventions will contribute to job creation and to the overall economic well-

being of the state of Rhode Island and the nation. It is accordingly the policy of the state to

encourage such inventors and inventions and to take appropriate steps to aid the inventor and

ensure that the public receives the benefit. In facilitating this policy, the state recognizes the need

for cooperation between governmental agencies, private industries, and the inventors themselves.

(b) Definitions: The following words and phrases used in section 16-59-26 have the

following meaning:

(1) "Conflict of interest policies and procedures relating to research and development"

refers to policies and procedures adopted by the Rhode Island Board of Governors for Higher

Education in consultation with the Rhode Island Ethics Commission, and approved by the Rhode

Island Ethics Commission;

(2) "Relationship" includes any interest, service, employment, gift, or other benefit or

relationship;

(3) "Research or development" means basic or applied research or development,

including:

(i) the development or marketing of university-owned technology;

(ii) the acquisition of services of an official or employee, by an entity for research and

development purposes;

(iii) participation in state economic development programs; or

(iv) the development or marketing of any technology on the premises of a public

institution of higher education by an official or employee of the institution.

conflict of interest policies and procedures based on the purposes expressed in article 3 section 7

of the Constitution of the State of Rhode Island, section 36-14-1, and in this section.

(2) The Rhode Island Board of Governors for Higher Education shall consult with the

Rhode Island Ethics Commission in developing these polices and procedures and shall submit

them to the Rhode Island Ethics Commission for approval in order to insure conformity with the

purposes expressed in article 3, section 7 of the Constitution of the State of Rhode Island, section

36-14-1, and in this section.

(d) Policy standards: The policies and procedures adopted by the Board of Governors for

Higher Education under subsection (c) of this section shall:

(1) Require disclosure of any interest in, or employment by, or other relationship with an

entity for which an exemption under this section is claimed, on a form filed with the Ethics

Commission and the Rhode Island Board of Governors for Higher Education and maintained as a

public record at the commission offices, the office of higher education, and at the interested

public institution of higher education;

(2) Require review of all disclosures by a designated official or officials, who shall

determine what further information must be disclosed and what restrictions shall be imposed by

the Rhode Island Board of Governors for Higher Education to manage, reduce, or eliminate any

actual or potential conflict of interest;

(3) Include guidelines to ensure that interests and employment for which an exemption

under this section is claimed do not improperly give an advantage to entities in which the interests

or employment are maintained, lead to misuse of institution students or employees for the benefit

of entities in which the interests or employment are maintained, or otherwise interfere with the

duties and responsibilities of the exempt official or employee;

(4) Require approval by the president of the public institution of higher education of any

interest or employment for which an exemption is claimed under this section; and

(5) Require approval by the Rhode Island Board of Governors for Higher Education.

(e) Relationship permitted: An official or employee at a public institution of higher

education may have a relationship, that would otherwise be prohibited by the Rhode Island Code

of Ethics in Government, with an entity engaged in research or development, or with an entity

having a direct interest in the outcome of research or development, only if the Rhode Island

Board of Governors for Higher Education has adopted policies and procedures in accordance with

this section, and the official or employee has complied with the polices and procedures. If the

provisions of this section are not met, the official or employee is not exempt from any relevant

provisions of the Rhode Island Code of Ethics in Government.

(f) Annual reporting: The Board of Governors for Higher Education shall report annually

to the Governor, the President of the Senate and the Speaker of the House of Representatives, and

the Ethics Commission the number of approvals granted under this section and how the conflict

of interest policies and procedures adopted pursuant to this section have been implemented in the

preceding year.

(g) Person not eligible: An official or employee who is a president, or vice-president at a

public institution of higher education in Rhode Island may not receive an exemption under this

section.

(h) Ethics commission review: The Board of Governors for Higher Educations shall

promptly notify the Ethics Commission in writing of any exemption that is granted under this

section. If the ethics commission disagrees with an exemption that is granted pursuant to this

section and the conflict of interest policies and procedures relating to research and development

adopted by the Board of Governors for Higher Education, within thirty (30) calendar days after

the receipt of the notice described herein, the Ethics Commission shall notify the Board of

Governors for Higher Education reason for its concern. Upon receipt of such notice from the

Ethics Commission, the Board of Governors for Higher Education shall cause the matter to be re-

examined at an open and public meeting pursuant to section 42-46-1 et seq.

SECTION 2. This act shall take effect upon passage.

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LC02664/SUB A

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